misc. stuff

6 Essential Factors for Comparing Final Expense Insurance Plans

You’ve decided that you want to give your loved ones the financial protection of final expense insurance, but there’s only one problem. You don’t know which plan to choose.

Today, there are dozens of final expense insurance plans from dozens of providers. Trying to wade through them all can be time-consuming and tedious when you try to do the research on your own. Luckily, there are now resources like PolicyZip that can help you compare final expense insurance plans.

Before you start comparing final expense insurance plans you need to know what you’re looking for and how to evaluate each one. Use the guide below to learn more about six essential factors for comparing final expense insurance plans.

Benefits/Pay Out

How much your loved ones will receive for funeral expenses is the top consideration for many people. Today the median cost of a basic funeral is $7,360. That’s a good benchmark, but the answer is different for everyone.

You can use the Federal Trade Commission’s funeral pricing checklist to help estimate what you think would be needed. Take into consideration where you live since that can affect pricing. If you want the most accurate estimate possible call several funeral homes in your area to request estimates.

One other thing to consider is how quickly benefits are paid out. A benefit of final expense insurance over life insurance is the quick payout, which is often necessary if family doesn’t have other means to pay for funeral costs.

Don’t forget to check the underwriting rules and guidelines. This is where you’ll find all stipulations regarding the benefits payout.


Final expense insurance is meant to cover the costs that are associated with funerals and memorial services. However, the extent of the coverage varies and some plans offer additional benefits beyond funeral costs.

Final expense insurance commonly covers:

  • Funeral services provided by a funeral director
  • Memorial service costs
  • Cremation services
  • Urn
  • Casket
  • Casket transportation
  • Cemetery plot
  • Headstone

A number of other related expenses may be covered under a plan. You can also choose a final expense insurance plan that covers remaining medical bills. If that’s preferred adjust your benefits amount accordingly.

Monthly Premium

Now that you know what the plan provides you need to know how much it costs. Typically, the monthly premium for final expense insurance is under $20 a month. The cost can vary depending on a number of factors, including age and any pre-existing conditions.

Ask the companies you’re considering if you can set up an automatic payment for your monthly premium. That way you never miss a payment and risk losing your coverage. The payment could be timed so that it’s deducted the day after you receive social security benefits or pension payments.

Medical Exam

Current health status can be a sticking point for some people that try to get life insurance. Usually that isn’t a problem with final expense insurance because most plans don’t require a medical exam or questionnaire during the application process. But that isn’t always the case. If you’re concerned about your medical condition check to make sure no medical exam is required.  

Customer Service

When final expense insurance is ultimately used the last thing you want your family to deal with is an unhelpful representative that makes the process difficult. Read professional and consumer reviews to get a better feel for the customer service provided by each company you’re considering.

Company Track Record

Last but not least, is the company track record. Anytime you’re dealing with insurance you want to make sure the company you choose is solvent and will be able to deliver benefits as promised. Most companies have an A rating, which is what you want to see.

The age of the company is another indicator. The longer the insurance company has been in operation the more assurance you have that they’ll fulfill their end of the contract.


About the author

Rachel Slifka

Leave a Comment